What Does Section 404 of the Sarbanes-Oxley Act of 2002

question 2

Multiple Choice

What does Section 404 of the Sarbanes-Oxley Act of 2002 require?

• A) The external auditors must create an adequate internal control structure for the firm being audited.
• B) The external auditors must approve of all internal auditors hired by a firm.
• C) The inclusion of an internal control report in the annual report.
• D) The external auditors need to perform internal audit services.

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Definitions:

Peanut Allergies

An immune system reaction that occurs soon after exposure to peanuts, causing a range of symptoms from mild irritation to severe anaphylaxis.

Principle of Rights Theory

An ethical framework stating that actions are right if they respect the rights of individuals.

Affects the Rights

Impacts or alters the legal entitlements and privileges of an individual or group.

Duty-Based Ethical Standards

Ethical principles that emphasize the obligations and duties to act in morally correct ways, regardless of the outcomes.